REG - Harvest Minerals Ltd - Miriri Phosphate Project Update

Harvest MineralsAnnouncement

04/08/2022 08:30

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RNS Number : 9155U  Harvest Minerals Limited  04 August 2022

 

4 August 2022

Harvest Minerals Limited

("Harvest" or the "Company")

 

Miriri Phosphate Project Update

Following on from the Company's announcement on 29 November 2021, Harvest
Minerals Limited, the AIM listed fertiliser producer provides the following
update in relation to the Miriri Phosphate Project (the 'Project') in the
State of Pernambuco, Brazil.

As announced on 29 November 2021, Harvest entered into a share purchase
agreement to acquire the entire issued share capital of BF Mineração Ltda,
which owned the Project.  Following the acquisition, Harvest's in house
geological team has undertaken detailed due diligence in respect to the
geology including a total of 38 auger and drill holes and additionally Harvest
has completed a marketing and feasibility assessment of the Project's economic
merits.

Following this due diligence process, Harvest has made the decision to not
proceed with the Project because both the geological and economic merits did
not reach Harvest's minimum investment criteria.  Specifically, Harvest
concluded that a direct shipping operation would not be possible as the
majority of the ore is at depth and the extraction of the ore and
corresponding over burden rendered the Project relatively uneconomic.

Accordingly, Harvest has terminated its agreement with the Vendors (as defined
in the Company's 29 November 2021 RNS) and relinquished its interest in the
Project.  No further payments are due to the Vendors.

Brian McMaster, Chairman of Harvest, said: "Since identifying the Arapua
Project in 2015, Harvest has been actively looking for further greenfield and
advanced projects to expand our reach. It is proving very difficult to
identify and secure appropriate projects which illustrates the importance of
Arapua as a secure, organic, domestic fertiliser source.  We had high hopes
for Miriri project, and it is disappointing that the detailed due diligence
didn't reconcile to the historical data. That said, we will continue to look
for greenfield and advanced projects as we grow our position within Brasil.
We have said for a long time now and it continues to be true, we have the
right commodity, in the right place at the right time.".

Enquiries:

 Harvest Minerals Limited                                 Brian McMaster (Chairman)  Tel: +44 (0) 203 940 6625

 Strand Hanson Limited Nominated & Financial Adviser      Ritchie Balmer             Tel: +44 (0) 20 7409 3494

                                                          James Spinney

 Tavira Securities                                        Jonathan Evans             Tel: +44 (0) 20 3192 1733

 Broker
 St Brides Partners Ltd                                   Ana Ribeiro                harvest@stbridespartners.co.uk (mailto:harvest@stbridespartners.co.uk)

 Financial PR                                             Isabel de Salis

 

 

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